The impact of qualification reviews on funding approval
The impact on our approval principles and processes because of ongoing qualification reform.
On 20 October 2025, the government published the Post-16 education and skills white paper and the Post-16 level 3 and below pathways consultation setting the direction for further reforms to post-16 qualifications at level 3 and below.
This means that some qualifications that were due to be defunded for new starts after 31 July 2026 or 31 July 2027 will now be retained until the development of new qualifications is complete.
The Review of Post-16 Qualifications Reform concluded in December 2024. It considered the level 3 qualifications that were due to have public funding removed on either 31 July 2024 or 31 July 2025.
A list of outcomes was also published specifying which qualifications would have funding removed from 1 August 2025 or extended.
Where qualifications have had funding retained, we have extended funding approval for these qualifications into the academic year 2025 to 2026 on the DfE List of qualifications approved for funding and Find a Learning Aim.
Funding approval was extended into the academic year 2025 to 2026 for level 2 qualifications, unless you told us it was replaced by a reformed qualification in summer 2024.
Qualifications that are in scope for funding approval to be extended into the academic year 2026 to 2027 will be extended at the point the 2026 to 2027 and 2027 to 2028 offers are confirmed. These qualifications will only be extended if they still meet the funding approval criteria and are operational.
Qualifications reform has the latest news on post-16 qualifications reform at level 3 and below.
We stopped routinely approving certain new regulated qualifications at level 3 and below for funding, for students aged 16 and over (including 19 plus), from 1 September 2020. We refer to this as the ‘post-16 moratorium’. It does not affect the 14 to 16 offer.
We will continue to approve some new qualifications for funding where they meet the criteria for one of the exemption types. By ‘new qualification’, we mean a qualification with a new qualification number on Ofqual’s Register of Regulated Qualifications.
Moratorium exceptions are only allowed in areas where new qualifications have not yet been approved for the reform process.
This is to ensure we avoid the parallel approval of reformed and unreformed qualifications in the same subjects.
From 1 January 2027, the LLE will fund a wide range of courses, including:
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all full courses formerly funded by HESF
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some qualifications previously funded through Advanced Learner Loans
Only level 4 to level 6 loans-funded qualifications that were approved through the ‘Loans to LLE Transfer’ process will transfer to LLE funding. Qualifications that successfully transferred to LLE had their loans funding approval extended until 31 July 2028, alongside their LLE funding approval from 1 January 2027.
Level 4 to level 5 Higher Technical Qualifications will be automatically approved for LLE funding.
We will communicate the outcomes of the ‘Loans to LLE Transfer’ process to AOs by 31 March 2025.
This means that:
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all currently loans-funded qualifications on the zero-enrolments list will have their loans funding removed from 1 August 2025
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those qualifications that successfully transfer to LLE are in scope to have their loans funding approval extended until 31 July 2028, alongside their LLE funding approval
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all other currently loans-funded qualifications are in scope to have their loans funding extended until 31 December 2026
Parallel loans and LLE funding approval
From 1 January 2027 loans funding approval will run in parallel to LLE funding approval for successful transfer qualifications.
Loans funding will be the only funding available for qualifications offered through non-OfS registered providers.
LLE funding will be the only funding available for qualifications offered through OfS registered providers.
Students funded through loans will not be entitled to access LLE funding, including maintenance support and modular funding options.
Students funded through LLE will be entitled to access full LLE funding, including maintenance support and modular funding options.
We will update this section of the funding manual in due course. Parallel loans and LLE funding approval will also apply to any new Ofqual regulated qualifications approved through the LLE Qualification Gateway. We will announce more details about the Gateway in 2025.
Loans moratorium and exemption
From 1 April 2024 there has been a moratorium on any level 4 to 6 non-HTQ qualifications entering the loans offer.
This moratorium will continue to operate until further notice.
We have introduced an exemption to the loans moratorium to enable you to keep approved level 4 to 6 non-HTQ qualifications relevant, up to date and compliant with Ofqual’s regulations.
Higher Technical Qualifications (HTQs) at level 4 and 5 are approved by Skills England (SE) against approved occupational standards. They allow learners to enter their chosen profession or progress on to higher education.
We identify HTQs at level 4 and 5 which are available in Advanced Learner Loans in our list of qualifications approved for funding.
Approved HTQs can be designated for Higher Education Student Finance (HESF) funding where they meet the necessary eligibility criteria. Some Ofqual regulated qualifications that do not meet the HESF criteria will be approved and available through loans only.
Some HTQs that meet HESF criteria may also be approved and available through loans. This is for a transitional period only. The provider must determine which funding route will apply for their HTQ course if both:
- an HTQ is eligible for funding through both HESF and loans
- the provider delivering the qualification already holds Office for Students registration and has a contract with DfE for Advanced Learner Loans delivery
Providers can only select one funding route. Loans and HESF funding may not be mixed for an individual HTQ course in a single provider.
Ofqual regulated HTQs
We will automatically approve level 4 to 5 HTQs, where they meet loans criteria and have already been approved as HTQs by Skills England. We will identify level 4 to 5 HTQs through accessing updates to DfE’s internal operational list of approved HTQs.
You do not need to make an application, but you can email Qualifications.APPROVAL@education.gov.uk and include:
- qualification number on the Ofqual Register
- full qualification title
- date from which providers can deliver the qualification as an HTQ
- the funding offer your qualification is designated for: either ‘HESF and loans’ or ‘loans only’
We will only approve these qualifications during our termly funding approval processes.
All HTQs approved:
- before 20 October 2025 will be approved in our autumn 2025 funding approval process
- from 20 October 2025, but before 16 February 2026, will be approved in our spring 2026 funding approval process
- from 16 February 2026, but before 18 May 2026, will be approved in our summer 2026 funding approval process
- from 18 May 2026, but before 19 October 2026 will be approved in our autumn 2026 funding approval process
We will write to you if we need you to do anything in this regard.
Due to the loans’ moratorium, we will only be able to approve HTQs in the loans offer from the start of the funding year in which providers can deliver the qualification as an HTQ. For example, if an HTQ is approved to be delivered as an HTQ from September 2026, we will approve loans funding approval from 1 August 2026.
Skills England’s website gives:
- further information on dual eligibility and how it will work
- a list of approved HTQs